McDonald’s to improve its Happy Meal menu by 2022 as part of its commitment with Healthier Generation

Company expands commitment with Alliance for a Healthier Generation by setting bold goals in 120 markets around the world to evolve the Happy Meal menu

OAK BROOK, Ill., 2018-Feb-19 — /EPR Retail News/ — Today (February 15, 2018), McDonald’s (NYSE:MCD) announced an expanded commitment to families, supporting the company’s long-term global growth plan by leveraging its reach to impact children’s meals, access to reading, and keeping families together through Ronald McDonald House Charities.  By 2022, McDonald’s will make improvements to the Happy Meal menu across 120 markets to offer more balanced meals, simplify ingredients, continue to be transparent with Happy Meal nutrition information, reinforce responsible marketing to children, and leverage innovative marketing to help impact the purchase of foods and beverages that contain recommended food groups in Happy Meals.

“We recognise the opportunity that we have to support families as one of the most visited restaurants in the world, and remain committed to elevating our food, celebrating the joy of reading, and helping those in need through Ronald McDonald House Charities,” said Steve Easterbrook, McDonald’s President and CEO.  “Given our scale and reach, we hope these actions will bring more choices to consumers and uniquely benefit millions of families, which are important steps as we build a better McDonald’s.”

In 2013, McDonald’s began working with the not-for-profit Alliance for Healthier Generation (Healthier Generation) to develop a comprehensive plan for 20 major markets* to increase customers’ access to fruit, vegetables, low-fat dairy and water; and many of those markets are ahead of schedule in their progress on those prior commitments.

Today, the company is furthering its efforts with Healthier Generation to set five new Global Happy Meal Goals through 2022.

1. Offer Balanced Meals

Using rigorous nutrition criteria grounded in science and nutrition policy, by the end of 2022, at least 50 percent or more of the Happy Meals listed on menus (restaurant menu boards, primary ordering screen of kiosks and owned mobile ordering applications) in each market will meet McDonald’s new Global Happy Meal Nutrition Criteria of less than or equal to 600 calories; 10 percent of calories from saturated fat; 650mg sodium; and 10 percent of calories from added sugar.

Currently, 28 percent of Happy Meal combinations offered on menu boards in 20 major markets meet these new nutrition criteria. To reach the goal of 50 percent or more, markets will add new menu offerings, reformulate or remove menu offerings from the Happy Meal section of the menu board. For example, last month McDonald’s Italy introduced a new Happy Meal entrée called the “Junior Chicken,” a lean protein sandwich (grilled chicken).  McDonald’s Australia is currently exploring new vegetable and lean protein options and McDonald’s France is looking at new vegetable offerings.

2. Simplify Ingredients

As consumers’ tastes and preferences continue to evolve, markets will prioritize Happy Meals and simplify ingredients by removing artificial flavors, added colors from artificial sources, and reducing artificial preservatives where feasible.  In 2016, McDonald’s USA removed artificial preservatives from Chicken McNuggets, which also have no artificial flavors and colors, and the Chicken McNuggets from McDonald’s France and Canada have no artificial flavors, colors or preservatives.

3. Be Transparent with Happy Meal Nutrition Information

The company has made a continuous effort to meet consumers’ desire for easy access to nutrition information for menu items it serves with a goal of ensuring that nutrition information for Happy Meals is available and accessible through all McDonald’s owned websites and mobile apps used for ordering where they exist.

4. Market Responsibly

Under the new goals, all Happy Meal bundles advertised to children will meet McDonald’s new global nutrition criteria, and will continue to meet any existing local/regional advertising pledges with respect to marketing to children.

5. Leverage innovative marketing to help increase purchase of foods and beverages that contain recommended food groups in Happy Meals

McDonald’s recognizes the opportunity it has to make a positive impact using its size and scale to leverage innovative marketing, including packaging and promotions and use of new technologies, such as kiosks and mobile apps, to help serve more fruit, vegetables, low-fat dairy, whole grains, lean protein and water in Happy Meals. This goal takes these actions one step further to include a measurement component and externally sharing best practices and results in a transparent manner.

McDonald’s USA Happy Meal Changes

Customers in the U.S. will see accelerated changes to the Happy Meal menu this year.  In June 2018, 100 percent of the meal combinations offered on Happy Meal menu boards in the U.S. will be 600 calories or fewer, and 100 percent of those meal combinations will be compliant with the new nutrition criteria for added sugar, saturated fat, and 78 percent compliant with the new sodium criteria.

  • Listing only the following entrée choices: Hamburger, 4-piece and 6-piece Chicken McNuggets. The Cheeseburger will only be available at a customer’s request.
  • Replacing the small French fries with kids-sized fries in the 6-piece Chicken McNugget meal, which decreases the calories and sodium in the fries serving by half.
  • Reformulating chocolate milk to reduce the amount of added sugar. During this period, chocolate milk will no longer be listed on the Happy Meal menu, but will be available at a customer’s request.
  • Later this year, bottled water will be added as a featured beverage choice on Happy Meal menu boards.
  • In December 2017, McDonald’s USA completed the transition to Honest Kids Appley Ever After organic juice drink, which has 45 less calories and half the total sugar than the prior 100 percent apple juice served in the U.S.

With these planned menu updates, there will be average reductions of 20 percent in calories, 50 percent in added sugars,13 percent in saturated fat and/or 17 percent in sodium, depending on the customer’s specific meal selection. These reductions reflect the average nutrition data of U.S. Happy Meal offerings on the menu last year compared to those planned for later this year.  Already, several of the Happy Meal combinations available on U.S. menu boards today meet the new nutrition criteria and will not be changing.

McDonald’s USA last announced changes of this magnitude in 2013 as part of its commitment with Healthier Generation, when removing soda from the Happy Meal section of its menu boards, which has resulted in a 14 percentage point increase in the number of Happy Meals ordered that include water, milk or juice as their beverage choice.  In December 2013, customers chose water, milk or juice as their beverage choice in 38 percent of Happy Meals and that number increased to 52 percent in December 2017. During that same period, the number of Happy Meals that included soda and other beverages decreased from 62 percent to 48 percent. For the first time, more than half of Happy Meals ordered in the U.S. have included water, milk or juice as their beverage of choice.

“From day one, Healthier Generation knew our work with McDonald’s could influence broad scale improvements to meal options for kids everywhere,” said Dr. Howell Wechsler, Chief Executive Officer of Alliance for a Healthier Generation. “Today’s announcement represents meaningful progress to impact kids’ calories, saturated fat, sodium and added sugar in Happy Meal bundles as offered on menu boards – and to promote more water. This sets a high bar, and we hope other industry leaders will follow suit.”

 “As a nutritionist and a mom, this is a pivotal moment as we unveil new, ambitious goals in collaboration with Healthier Generation that we hope will positively impact families around the world,”  said Julia Braun, MPH, Registered Dietitian and Head of Global Nutrition at McDonald’s. “Our efforts have led to big changes and real progress and as part of our continued food journey, we’re committed to making it easier for families to choose balanced options that will make measurable differences.”

These commitments apply to all markets globally with measurement and reporting of progress among 20 major markets, representing nearly 85 percent of the company’s global sales. The company will work with Healthier Generation and an independent, third-party to measure and publicly report progress every two years.

“Happy Meal Readers” Book Program

The company is also using its scale for good to inspire a passion for reading and will continue to spread the joy of reading to more families.  Since 2001, the company and its franchisees have distributed more than 370 million books in Happy Meals. “Happy Meal Readers” continues to expand, and by 2019 children in more than 100 markets will be able to choose a book or toy year-round in their Happy Meals.

Ronald McDonald House Charities (RMHC)

When it comes to supporting families, the company has played an important role for more than 40 years in keeping families near the care they need when their children are sick. McDonald’s was a founding mission partner of the Charity and remains committed to leveraging the size and scale of McDonald’s restaurants to promote and raise money to support the growth of the Charity.  RMHC keeps families together, close to the care they need through more than 364 Ronald McDonald Houses, 227 Ronald McDonald Family Rooms, and 49 Ronald McDonald Care Mobiles in 64 countries and regions around the world.  Last year alone, RMHC provided care and resources to more than five and a half million children and families.  Last year, McDonald’s restaurants supported the work of RMHC by providing approximately 2.4 million overnight stays in neighborhoods and in communities around the world.

About McDonald’s

McDonald’s is the world’s leading global foodservice retailer with over 37,000 locations in over 100 countries. Approximately 90% of McDonald’s restaurants worldwide are owned and operated by independent local business men and women.

About Healthier Generation

The Alliance for a Healthier Generation empowers kids to develop lifelong healthy habits by ensuring the environments that surround them provide and promote good health. More than 25 million children have been helped by Healthier Generation’s work with schools, communities and businesses across the country. Make a difference at HealthierGeneration.org and join us on Facebook and Twitter.

*20 major markets: U.S., Canada, Brazil, Argentina, U.K., France, Germany, Austria, Spain, Netherlands, Italy, Poland, Sweden, Switzerland, Russia, Hong Kong, China, Japan, Taiwan and Australia.

MEDIA CONTACTS:
Becca Hary 
McDonald’s
becca.hary@us.mcd.com
Kate Siskel
Alliance for a Healthier Generation 
kate.siskel@healthiergeneration.org

This announcement is distributed by Nasdaq Corporate Solutions on behalf of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: McDonald’s Corporation / Globenewswire

McDonald’s completes partnership with CITIC and Carlyle to operate and manage McDonald’s businesses in mainland China and Hong Kong

OAK BROOK, IL and SHANGHAI, CHINA and HONG KONG, CHINA, 2017-Aug-08 — /EPR Retail News/ — McDonald’s Corporation (NYSE: MCD) (“McDonald’s”) today (Aug 8, 2017) announced the successful completion of a strategic partnership with CITIC Limited (SEHK: 00267) (“CITIC”), CITIC Capital Partners (“CITIC Capital”), and The Carlyle Group (NASDAQ: CG) (“Carlyle”). Ramping up a new era of growth and innovation, the partnership will operate and manage McDonald’s businesses in mainland China and Hong Kong, leveraging combined expertise and strength to drive an expansion strategy.

The transaction has obtained China’s regulatory approval and was completed on July 31, 2017, creating the largest McDonald’s franchisee outside of the United States. The sale to the new McDonald’s China franchisee includes McDonald’s existing businesses in Mainland China (approximately 2,500 restaurants) and Hong Kong (approximately 240 restaurants).

The new partnership today announced a series of development initiatives for mainland China. Termed “Vision 2022,” this strategy aims to drive double-digit sales growth in each of the next five years by increasing the number of restaurants from 2,500 to 4,500, including delivery hub coverage of over 75% of restaurants, by the end of 2022, bringing unparalleled convenience to Chinese customers. Opening pace of new McDonald’s restaurants in mainland China is expected to progressively ramp up from approximately 250 per year in 2017 to 500 per year in 2022 under the new partnership. In addition, Vision 2022 includes plans to increase significantly McDonald’s restaurant portfolio mix in tier 3-4 cities to approximately 45% of all McDonald’s restaurants in China. Vision 2022 also includes an increase of “Experience of the Future” restaurants to over 90%, which will enable the brand to offer digitalized and personalized dining experience to more customers.

With innovation hubs located in Hong Kong and Shanghai, McDonald’s will strengthen its brand leadership by enhancing the customer experience using menu innovation and advanced digital retail experience.

“China will soon become our largest market outside of the United States. We are excited to join forces with CITIC and Carlyle for better localized decision-making to meet changing customer demands in this dynamic market,” said Steve Easterbrook, McDonald’s President and CEO. “Mainland China and Hong Kong are leading the global system in capturing new consumer trends such as delivery and digitalization and its driving strong performance and growth momentum. I have great confidence in our new partnership to unlock the full growth potential of China. McDonald’s Corporation will continue to play an active part in the China growth journey through our remaining interest and participation on the China Board.”

Zhang Yichen, Chairman of the Board of Directors for the new McDonald’s China, commented: “The partnership will strengthen McDonald’s China’s entrepreneurial spirit, driven by ownership at the local level. It will also help us ensure first-class customer service and food safety while accelerating our growth in mainland China and Hong Kong. We believe this is a winning formula that fuses McDonald’s global quality standards and branding with CITIC and Carlyle’s extensive resources and market expertise in real estate, finance, supply chains, consumer & retail, and technology.”

About McDonald’s
McDonald’s is the world’s leading global foodservice retailer with over 37,000 locations in over 100 countries. Approximately 90% of McDonald’s restaurants worldwide are owned and operated by independent local business men and women.

Source: McDonald’s

McDonald’s Corporation announces Hubert Lee as the Developmental Licensee for its Taiwan market

Taipei, TAIWAN, 2017-Jun-02 — /EPR Retail News/ — McDonald’s Corporation today (Jun 01, 2017) announced Hubert Lee as the Developmental Licensee (DL) for its Taiwan market. Mr. Lee has a proven track record of business success across different industries including extensive experience in the hospitality industry.

“With today’s announcement in Taiwan, we are one step further to delivering early on our commitment to enhance local brand relevance and our customers’ restaurant experience through the refranchising of 4,000 restaurants around the world,” said McDonald’s President and Chief Executive Officer, Steve Easterbrook.  “By identifying strategic partners who share our values and vision to accelerate our growth and scale across diverse markets, we will drive innovation and make us more relevant to our customers and the communities we serve.”

McDonald’s entered into a Multi Unit Franchise Agreement for the Taiwan market with De Yu Co. Ltd. (De Yu), a consortium of investors led by Mr. Lee, with Mr. Lee holding a 70% controlling stake.  As the new DL, Mr. Lee will be actively involved in the McDonald’s business in Taiwan. Mr. Lee and De Yu assumed ownership of the McDonald’s business in Taiwan on June 1, 2017, including a total of nearly 400 restaurants, more than 90% of which were Company-owned.  Financial terms of the transaction were not disclosed.

Under the DL structure, McDonald’s transferred its ownership interest in McDonald’s Taiwan and granted a license to Mr. Lee to develop and operate the McDonald’s restaurants in this market.  The DL partner will provide the capital necessary to support and grow the business.

“We look forward to partnering with Mr. Lee and his team to take our brand to the next phase in Taiwan,” said Simone Hoyle, Head of McDonald’s Asia Foundational Markets. “Building on our existing brand strengths and high standards, I am confident that together, we will create many exciting opportunities through modernizing our restaurants, enhancing digital consumer engagement, and offering customers even more personalized service and a menu tailored to the local culture.”

Joanna Liu, will continue as Managing Director and will lead the day-to-day management of the Taiwan market. Ms. Liu started as a restaurant supervisor in Taiwan in 1984 and was Chief Operating Officer before she became Managing Director in December 2016.

“I am excited about joining a leading and world-class organization such as McDonald’s and working together with the team across Taiwan to make customer experience even more unique and innovative,” said Hubert Lee.  “I share the McDonald’s vision to delight customers with the taste and quality of our food and offer the highest level of service and convenience.”

Today’s announcement builds on McDonald’s refranchising commitments and will accelerate local ownership, enabling faster decision-making, quicker learning and stronger restaurant growth. With this transaction, McDonald’s is on track to refranchise 4,000 restaurants by the end of 2017, a full year ahead of schedule. Once completed, the company’s global franchised percentage is expected to reach approximately 93%.

About McDonald’s:
McDonald’s is the world’s leading global foodservice retailer with over 36,000 locations in over 100 countries. More than 85% of McDonald’s restaurants worldwide are owned and operated by independent local business men and women.
McDonald’s has successfully utilized the DL ownership structure for more than 30 years in regions throughout the world including more than 80 individual countries with a portfolio of approximately 6,700 restaurants.

Media Contacts:
McDonald’s Communications
Terri Hickey
terri.hickey@us.mcd.com
630-623-5593

Source: McDonald’s Corporation

McDonald’s USA to serve fresh beef, prepared when ordered, in all Quarter Pounder burgers by mid-2018

Latest Step in Building a Better McDonald’s Will Bring Fresh Beef, Made-to-Order Quarter Pounder burgers by mid-2018

OAK BROOK, IL, 2017-Apr-04 — /EPR Retail News/ — McDonald’s USA (NYSE: MCD) today (Mar 30, 2017) announced that by mid-2018, it will serve fresh beef, prepared when ordered, in all Quarter Pounder burgers across the majority of its restaurants. The fresh beef burgers, cooked right when ordered, are the latest step the company has made to meet customers’ changing expectations. All McDonald’s burgers use 100 percent pure beef with absolutely no fillers, additives or preservatives.

“Over the past two years, we’ve made a series of bold, tangible changes for our customers,” said McDonald’s President and Chief Executive Officer Steve Easterbrook. “Serving All-Day Breakfast, moving to cage-free eggs and testing delivery are all proof of our commitment to building a better McDonald’s. And we are committed to transforming more aspects of our business, including offering a more modern and enjoyable dining experience, adding new levels of convenience and technology, and making more positive changes to the food we serve.”

Delivering fresh beef, cooked right when ordered, in Quarter Pounder burgers is one of the company’s latest customer-led initiatives that builds on several other recent milestones, including:

  • In 2015, the company announced a number of changes to how it serves and sources its food by offering All-Day Breakfast, committing to only sourcing cage-free eggs by 2025, and committing to only serve chicken not treated with antibiotics important to human medicine* that was completed nearly a year ahead of schedule in 2016.
  • Last year, the company removed artificial preservatives from several menu items, including Chicken McNuggets and eliminated high fructose corn syrup from the buns used on Big Macs, Quarter Pounders, hamburgers, cheeseburgers, Filet-O-Fish and McChicken sandwiches.

“Today’s announcement is part of a continuing food journey for McDonald’s,” said McDonald’s USA President Chris Kempczinski. “Over the last two years, we have accelerated the pace of change around how we source and serve our food. Delivering fresh beef that’s prepared when our customers order their food is just another example of how we are raising the bar. We’re just getting started, and can’t wait to show you what’s next.”

“This represents a strong partnership between McDonald’s, Lopez Foods and their other beef suppliers to support this initiative and deliver McDonald’s quality standards,” said Ed Sanchez, President and Chief Executive Officer of Lopez Foods. “It was exciting to be part of the test and we look forward to bringing fresh beef to more McDonald’s customers in 2018.”

Quarter Pounder burgers using fresh beef, cooked right when ordered, were initially tested in 325 restaurants across the Dallas/Fort Worth, Texas area and 77 restaurants in Tulsa, Oklahoma. Quarter Pounder burgers include the Quarter Pounder, Quarter Pounder with Cheese, Double Quarter Pounder with Cheese, the Quarter Pounder with Cheese Deluxe and Signature Crafted Recipe burgers.

“We received overwhelmingly positive feedback from customers and employees and we’re proud to have been part of a test that is creating a watershed moment for McDonald’s,” said McDonald’s Dallas/Fort Worth Franchisee Joe Jasper. “This test was driven by the Franchisees, our region and insights from what our customers are asking for when they visit McDonald’s.”

About McDonald’s
McDonald’s USA, LLC, serves a variety of menu options made with quality ingredients to nearly 25 million customers every day. Nearly 90 percent of McDonald’s 14,000 U.S. restaurants are independently owned and operated by businessmen and women. Customers can now log online for free at approximately 11,500 participating Wi-Fi enabled McDonald’s U.S. restaurants. For more information, visit www.mcdonalds.com, or follow us on Twitter @McDonalds and Facebook www.facebook.com/mcdonalds.

For more information, please visit www.hotoffthegrillatmcdonalds.com

* Farmers still use ionophores, a class of antibiotics that are not prescribed to people, to keep chickens healthy.

FOR MORE INFORMATION CONTACT:
Media:
Becca Hary
630-623-7293

Investors:
Mike Flores
630-623-3519

Source:  McDonald’s USA

CITIC Limited, CITIC Capital, The Carlyle Group and McDonald’s create company that will act as McDonald’s Franchisee in mainland China and Hong Kong

New Partnership Will Become the Largest McDonald’s Franchisee Outside the United States

OAK BROOK, IL, 2017-Jan-11 — /EPR Retail News/ — CITIC Limited (SEHK: 00267) (“CITIC”), CITIC Capital Holdings (“CITIC Capital”), The Carlyle Group (NASDAQ: CG) (“Carlyle”) and McDonald’s Corporation (NYSE: MCD) (“McDonald’s”) today (Jan 8, 2017) announced the formation of a partnership and company that will act as the master franchisee responsible for McDonald’s businesses in mainland China and Hong Kong for a term of 20 years.

The total consideration payable by the new company to acquire McDonald’s mainland China and Hong Kong business is up to US$2.08 billion (approximately HK$16.14 billion). The consideration will be settled by cash and by new shares in the company issued to McDonald’s. After completion of the transaction, CITIC and CITIC Capital will have a controlling stake of 52%, while Carlyle and McDonald’s will have interests of 28% and 20%, respectively.

The partnership will use its combined expertise and resources to accelerate growth in McDonald’s business through new restaurant openings, particularly in tier 3 and 4 cities, and to improve sales performance in existing restaurants. The focus will be on key areas such as menu innovation, enhanced restaurant convenience, retail digital leadership and delivery. It intends to add over 1,500 restaurants in China and Hong Kong over the next five years.

McDonald’s CEO Steve Easterbrook said, “China and Hong Kong represent an enormous growth opportunity for McDonald’s. This new partnership will combine one of the world’s most powerful brands and our unparalleled quality standards with partners who have an unmatched understanding of the local markets and bring enhanced capabilities and new partnerships, all with a proven record of success. By working together, we will unlock even faster growth and be closer to the customers and communities we serve as McDonald’s works to be the leading Quick Service Restaurant across the Chinese mainland and Hong Kong.”

China’s consumer sector is growing rapidly, benefiting from continued urbanisation, an expanding middle class and increasing disposable household incomes. China’s working population is larger than those of the US and Europe combined, yet spending levels of China’s middle class are a small fraction of those in more developed countries. As disposable incomes rise, people will continue to spend more on leisure and dining out, particularly in tier 3 and 4 cities where there is great growth potential. As such, the market for Western Quick Service Restaurants is expected to continue to grow rapidly.

For CITIC, this investment offers a chance to deepen its exposure to the consumer sector, which is poised to be the main driver of China’s economy for decades to come. This transaction is another step in CITIC’s efforts to better balance its financial and non-financial businesses. CITIC also sees opportunities for synergies with its existing businesses.

Mr Chang Zhenming, Chairman of CITIC Limited, commented: “We believe CITIC’s unique platform and its extensive resources will enable us to help realise McDonald’s full potential in China. Together with our partners, we will devote ourselves to continue upholding McDonald’s extremely high standards of food quality and service. Importantly, this is also a strategic opportunity for CITIC to invest in the expanding Chinese consumer sector. McDonald’s extensive network and consumer base will provide us with invaluable insights, which we will leverage to the benefit of our existing businesses.”

For Carlyle, this investment offers the chance to partner with an iconic brand with sizeable market share and growth potential in China. Carlyle has years of strong investment and operating experience in the global consumer and retail sector, and is well positioned to drive further growth of the new company. Equity for this transaction will come from Carlyle Asia Partners IV. Carlyle has invested more than US$7 billion of equity in approximately 90 transactions in China, as of 30 September 2016.

Mr X.D. Yang, Managing Director and Co-Head of the Asia buyout team of The Carlyle Group, will serve as Vice Chairman of the board of the new company. He said, “Carlyle and CITIC have a strong history of partnering together. Today, we are pleased to cooperate with CITIC again, alongside McDonald’s, on one of our largest deals in China. This substantial investment demonstrates our confidence in the strength of the Chinese consumer.”

Mr Yichen Zhang, Chairman and CEO of CITIC Capital, will serve as Chairman of the board of the new company. He said, “McDonald’s core business proposition and potential in China is clear. We will work closely with the existing management team and partners, including Beijing Capital Agribusiness Group, to respond to local market expectations and continue to expand and improve the business to meet the needs of the Chinese consumer.”

As part of its turnaround plan announced in May of 2015, McDonald’s committed to refranchising 4,000 restaurants by the end of 2018, with the long-term goal of becoming 95% franchised. As a result of this transaction, McDonald’s is refranchising more than 1,750 company-owned stores in China and Hong Kong.

As of 31 December 2016, McDonald’s operates and franchises over 2,400 restaurants in mainland China and more than 240 restaurants in Hong Kong. It has built one of the strongest brand names and most robust systems in the region over the past three decades. Currently employing over 120,000 staff and serving over one billion customers annually in China, McDonald’s is the second largest Quick Service Restaurant chain in China and the largest in Hong Kong.

Upon completion of the transaction, the new company will have a board of directors with representatives from CITIC, CITIC Capital, Carlyle and McDonald’s. McDonald’s existing management team will continue to lead the business.

The deal is contingent upon relevant regulatory approvals. The deal is expected to close in mid-2017.

This press release should be read in conjunction with the full text of the HKEX Announcement dated 9 January 2017, which is available on www.hkex.com.hk.

About CITIC Limited

CITIC Limited is China’s largest conglomerate operating domestically and overseas, with businesses in financial services, resources and energy, manufacturing, engineering contracting and real estate as well as others. CITIC’s rich history, diverse platform and strong corporate culture across all businesses ensure that CITIC Limited is unrivalled in capturing opportunities arising from China’s continued growth. CITIC Limited is listed on the Stock Exchange of Hong Kong (SEHK: 00267), where it is a constituent of the Hang Seng Index. CITIC Group, a Chinese state owned enterprise, owns 58% of CITIC Limited. For more information about CITIC Limited, please visit the company website at www.citic.com.

About CITIC Capital

Founded in 2002, CITIC Capital is an alternative investment management and advisory company. The firm manages over US$8 billion of capital from a diverse group of international and Chinese investors. Core businesses include Private Equity, Real Estate, Structured Investment and Finance, Asset Management and Venture. CITIC Capital currently employs over 200 staff members throughout its offices in Hong Kong, Shanghai, Beijing, Shenzhen, Tokyo and New York. The firm combines a deep knowledge of the Chinese business and financial markets with world-class investment expertise to create and maximize value for its investors.

About The Carlyle Group

The Carlyle Group (NASDAQ: CG) is a global alternative asset manager with US$169 billion of assets under management across 125 funds and 177 fund of funds vehicles as of 30 September 2016. Carlyle is one of the largest investors in China, having pursued approximately 90 investments over almost 20 years in China. Carlyle’s purpose is to invest wisely and create value on behalf of its investors, many of whom are public pensions. Carlyle invests across four segments — Corporate Private Equity, Real Assets, Global Market Strategies and Investment Solutions — in Africa, Asia, Australia, Europe, the Middle East, North America and South America. Carlyle has expertise in various industries, including aerospace, defence & government services, consumer & retail, energy, financial services, healthcare, industrial, real estate, technology & business services, telecommunications & media and transportation. The Carlyle Group employs more than 1,625 people in 35 offices across six continents.

About McDonald’s

McDonald’s is the world’s leading global foodservice retailer with over 36,000 locations in over 100 countries. More than 80% of McDonald’s restaurants worldwide are owned and operated by independent local business men and women.

Media enquiries:

For CITIC Limited, CITIC Capital and Carlyle
Ms. Jasmine Yap
Tel: +852 3103 0108
Mobile: +852 9325 3363
jasmine.yap@citigate.com.hk

For McDonald’s Corporation
Ms. Terri Hickey
Mobile: +1 773-655-3035
Terri.Hickey@us.mcd.com

For McDonald’s China
Ms. Regina Hui
Mobile: +86 138 1109 0306
Regina.hui@cn.mcd.com

For McDonald’s Hong Kong
Ms. Wendy Lam
Mobile: +852 64608981
Wendy.lam@hk.mcd.com

Source: McDonald’s

McDonald’s Corporation announces Lionhorn Pte. Ltd. as the Developmental Licensee for its Malaysia and Singapore markets

OAK BROOK, IL, 2016-Dec-07 — /EPR Retail News/ — McDonald’s Corporation (NYSE: MCD) today (Dec 2, 2016) announced it has selected Lionhorn Pte. Ltd. as the Developmental Licensee (DL) for its Malaysia and Singapore markets. Lionhorn is led by Sheik Fahd and Abdulrahman Alireza, who bring 20 years of experience as the DL for the nearly 100 McDonald’s restaurants in the Western and Southern regions of Saudi Arabia.

“This transaction marks another milestone in our Company’s ongoing efforts to identify strategic partners who share our values and vision to accelerate our growth and scale across diverse markets, drive innovation and place us closer to our customers and the communities we serve,” said McDonald’s President and Chief Executive Officer Steve Easterbrook.

The new DL assumed ownership of the McDonald’s business in Malaysia and Singapore on December 1, 2016, which includes a total of 390 restaurants, more than 80% of which were Company-owned. Financial terms of the transaction were not disclosed.

Under the DL structure, McDonald’s transferred its ownership interest in McDonald’s Malaysia and Singapore and granted a license to the DL to run McDonald’s restaurant operations in these markets. The DL partner will provide the capital necessary to support and grow the business and will pay an initial franchise fee and an ongoing royalty to McDonald’s.

“We are pleased to welcome Sheik Fahd as the Developmental Licensee for our business in Malaysia and Singapore,” said Simone Hoyle, Head of McDonald’s Asia Foundational Markets. “Sheik Fahd and Abdulrahman Alireza’s experience in running great restaurants will create brand excitement for our customers and new opportunities for our people as these markets continue to grow and develop.”

Leading the day-to-day management of the Malaysia and Singapore markets, respectively, will be local operating partners Azmir Jaafar and Kenneth Chan, both of whom previously held senior leadership positions at McDonald’s and together possess over 40 years of experience.

This announcement follows a rigorous evaluation and selection process over the past year. As part of its turnaround plan announced in May of 2015, McDonald’s committed to refranchising 4,000 restaurants by the end of 2018 with the long-term goal of becoming 95 percent franchised. With this transaction, McDonald’s has now refranchised approximately 1,300 restaurants.

About McDonald’s:
McDonald’s is the world’s leading global foodservice retailer with over 36,000 locations in over 100 countries. More than 80% of McDonald’s restaurants worldwide are owned and operated by independent local business men and women.

McDonald’s has successfully utilized the DL ownership structure for more than 30 years in regions throughout the world including more than 70 individual countries with a portfolio of approximately 5,500 restaurants.

About Sheik Fahd and Abdulrahman Alireza:
Sheik Fahd and Abdulrahman Alireza serve as McDonald’s Developmental Licensees in the Western and Southern regions of Saudi Arabia, with nearly 100 restaurants. In their capacity as the McDonald’s DLs, Sheik Fahd and Abdulrahman Alireza were awarded the Golden Arch Award in 2001, the highest recognition for a McDonald’s franchisee in the organization. Abdulrahman currently serves as General Manager of the McDonald’s business in Saudi Arabia.

About Kenneth Chan:
Kenneth Chan will join the Lionhorn DL organization as the operating partner for Singapore/Malaysia and Managing Director (MD) of Singapore. Prior to this, Kenneth served as Division President of China & Greater Asia as well as CEO of Greater China and MD of Singapore with oversight to Malaysia, Korea and Taiwan. His extensive knowledge of both markets and of the McDonald’s system will enable him to drive strong growth for the new DL.

About Azmir Jaafar:
Azmir Jaafar will join the Lionhorn DL organization as operating partner for Malaysia and will continue in his current role as the market’s MD. Previously, Azmir held other significant roles including Chief Development Officer of McDonald’s China and MD of the Company’s Middle East markets. Since his recent return to Malaysia, Azmir has successfully led a turnaround in the business with locally relevant, customer-focused strategies.

CONTACT:

Investors:
Chris Stent
630-623-3801

Media:
Terri Hickey
630-623-5593

Source: McDonald’s

McDonald’s announces the retirement of its U.S. President Mike Andres; Chris Kempczinski to succeed

OAK BROOK, IL, 2016-Sep-01 — /EPR Retail News/ — McDonald’s Corporation (NYSE:MCD) today (Aug 31, 2016) announces the retirement of U.S. President Mike Andres and the subsequent appointment of Chris Kempczinski, Executive Vice President of Strategy, Business Development and Innovation, to lead the U.S. business effective Jan. 1, 2017.

“Mike has been relentless in his commitment to building a better brand,” said McDonald’s President and CEO Steve Easterbrook. “From significant strides in food quality to meaningful customer initiatives like All Day Breakfast and forging an even stronger partnership between U.S. operators and the company, his commitment to our customers is unmistakable.

“As we thank Mike for his contributions, we are confident Chris is the right leader to build upon our U.S. progress and bring a new level of convenience and excitement to the restaurant experience,” Easterbrook added. “His proven track record of driving change is invaluable as we continue to transform McDonald’s into a modern, progressive burger company.”

Kempczinski will begin to focus his efforts on the U.S. business as he and Andres work together to ensure a smooth transition in the months ahead.

“With the strides we have made in the U.S. business this is the right time for me to retire,” Andres said. “I’m proud of the work we have done to put our customers first and enhance our menu so customers can feel good about eating the food they love at McDonald’s.”

Prior to joining McDonald’s last year, Kempczinski served in various strategy and operational positions with some of the world’s leading consumer companies, most recently as Executive Vice President, Growth Initiatives and President of International at Kraft Foods Group.

“I look forward to building upon the significant progress in the U.S., and continuing the innovation and collaboration among our owner-operators, suppliers and employees to take McDonald’s to the next level,” Kempczinski said.

McDonald’s also announces additional leadership changes today:

  • In addition to his current role as President of the International Lead Markets, Doug Goare will take on the role of Chief Restaurant Officer, overseeing a number of business functions managed by Chief Administrative Officer Pete Bensen who is retiring in September. In this expanded role, he will oversee supply chain, information technology, global restaurant operations, development and digital business functions. This streamlined structure further supports McDonald’s commitment to move quickly on customer-focused initiatives.
  • Lucy Brady has been named Senior Vice President of Corporate Strategy and Business Development. She joins McDonald’s in September and will take on the role vacated by Kempczinski overseeing strategy development, planning and innovation to drive growth for the company. As a Senior Partner and Managing Director at The Boston Consulting Group she led several turnaround and strategic growth initiatives.

“I am confident we have the right leaders in place to accelerate our turnaround and further strengthen the McDonald’s brand,” Easterbrook said.

About McDonald’s
McDonald’s is the world’s leading global foodservice retailer with over 36,000 locations in over 100 countries. More than 80% of McDonald’s restaurants worldwide are owned and operated by independent local business men and women.

CONTACT:
Investors:

Chris Stent
630-623-3801

Media:
Terri Hickey
630-623-5593

Source:  McDonald’s Corporation

McDonald’s Corp. to relocate its corporate headquarters to downtown Chicago by the spring of 2018

Company Signs Lease at 1045 W. Randolph in Chicago’s West Loop and Will Relocate Its Headquarters by Spring of 2018

OAK BROOK, IL, 2016-Jun-15 — /EPR Retail News/ — McDonald’s Corp. (NYSE: MCD) today announced the move of its corporate headquarters to downtown Chicago by the spring of 2018.

The company signed a lease at 1045 W. Randolph St. in Chicago’s vibrant West Loop neighborhood and will transform the space into a modern setting that fosters collaboration and connectivity.

“We are a brand on the move in more ways than one,” said McDonald’s President and CEO Steve Easterbrook. “Moving our headquarters to Chicago is another significant step in our journey to build a better McDonald’s. This world-class environment will continue to drive business momentum by getting us even closer to customers, encouraging innovation and ensuring great talent is excited about where they work.”

The move marks a return to Chicago where the company was headquartered from 1955 to 1971.

“McDonald’s looks forward to returning to the Chicago community where we started and to building together the next chapter of success in the history of this great company,” said Rick Hernandez, Chairman of the Board of McDonald’s. “Today’s announcement is about more than just a new location for us. It is an important investment in our people as we look to create a start-of-the-art company headquarters they can use to move our business forward for many years to come.”

The new headquarters will also house Hamburger University, one of seven worldwide locations, providing a state-of-the-art learning center for the company’s future leaders and employees.

“McDonald’s, welcome back to sweet home Chicago,” Mayor Rahm Emanuel said. “McDonald’s has identified the keys to success to today’s global market, talent, technology, and access to transportation networks, and they recognize these as Chicago’s strengths. I’m proud to welcome them to our dynamic city.”

About McDonald’s
McDonald’s is the world’s leading global foodservice retailer with over 36,000 locations in over 100 countries. More than 80% of McDonald’s restaurants worldwide are owned and operated by independent local business men and women.

FOR MORE INFORMATION CONTACT:
Media:

Terri Hickey
630-623-5593
terri.hickey@us.mcd.com

Becca Hary
630-623-7293
becca.hary@us.mcd.com

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McDonald's Global Headquarters - Oak Brook, IL

McDonald’s Global Headquarters – Oak Brook, IL

Enrique (“Rick”) Hernandez, Jr. elected non-executive Chairman of McDonald’s Corporation’s Board of Directors

OAK BROOK, IL, 2016-Jun-02 — /EPR Retail News/ — McDonald’s Corporation (NYSE: MCD) Board of Directors today announced that Enrique (“Rick”) Hernandez, Jr. has been elected non-executive Chairman of the company’s Board of Directors following the company’s Annual Shareholders’ Meeting held today. Hernandez, 60, has served on the Board as an independent Director since 1996 and most recently chaired the audit committee. He succeeds Andrew J. McKenna, who retired after 25 years of service as a director and served the last 12 years as chairman of the board. Hernandez is CEO and President of Inter-Con Security Systems, Inc. in Pasadena, Calif.

“Rick has been a tremendous asset to the Board. He provides strong counsel, has a deep knowledge and passion for the Brand and shares our desire to continue delivering long-term value for our shareholders and the McDonald’s system,” said Steve Easterbrook, McDonald’s President and CEO.

“I am delighted to have someone of Rick’s talent and experience, who has served this board so well, now guide it forward,” said McKenna.

Hernandez began his career as a litigation attorney with Brobeck, Phleger, & Harrison in Los Angeles and in 1984 joined Inter-Con Security Systems, Inc. becoming CEO and President in 1986.

Hernandez serves as a Director for Chevron Corporation, Wells Fargo & Company, and Nordstrom, Inc., where last week he concluded ten years of service as chairman. He is also a member of the board of trustees for the University of Notre Dame, and a member of the Harvard College Visiting and Harvard University Resources Committees and The John Randolph Haynes and Dora Haynes Foundation.

Hernandez earned a bachelor’s degree in government and economics from Harvard University and received his law degree from Harvard Law School.

About McDonald’s
McDonald’s is the world’s leading global foodservice retailer with over 36,000 locations in over 100 countries. More than 80% of McDonald’s restaurants worldwide are owned and operated by independent local business men and women.

FOR MORE INFORMATION CONTACT:
Media:
Becca Hary
630-623-7293

Investors:
Chris Stent
630-623-3801

###

Enrique Hernandez, Jr.

Enrique Hernandez, Jr.

McDonald’s Corporation announces the retirement of its Chairman of the Board Andrew J. McKenna

OAK BROOK, IL, 2016-Apr-11 — /EPR Retail News/ — Andrew J. McKenna, Chairman of the Board of McDonald’s Corporation (NYSE: MCD), today announced that he has advised the Board that he has decided not to stand for re-election as a member of the Board at the Company’s Annual Shareholders’ Meeting to be held on May 26. Mr. McKenna has served as a Director for 25 years, and as Chairman for the past 12 years. The Board of Directors announced that it has named Mr. McKenna as Chairman Emeritus following his retirement and will elect a new independent Chairman following the election of Directors by shareholders at the Annual Meeting.

“Andy’s leadership helped guide McDonald’s through some noteworthy highs and some challenging times,” said Miles White, Chairman of the Governance Committee of the Company’s Board of Directors. “We thank Andy for his unwavering commitment and appreciate his willingness to continue sharing his insights with us.”

“Andy’s business integrity is an example for all of us to follow and we are deeply indebted for his tireless dedication and counsel,” said Steve Easterbrook, McDonald’s President and CEO.

“It has been a privilege and honor to be part of McDonald’s growth and expansion throughout the years,” said Mr. McKenna. “I am confident that the Board will continue to deliver on our progress to enhance long-term shareholder value.”

About McDonald’s
McDonald’s is the world’s leading global foodservice retailer with over 36,000 locations in over 100 countries. More than 80% of McDonald’s restaurants worldwide are owned and operated by independent local business men and women.

FOR MORE INFORMATION CONTACT:
Media:
Becca Hary
630-623-7293
Becca.hary@us.mcd.com

Investors:
Chris Stent
630-623-3801
Chris.stent@us.mcd.com

###

Andrew J. McKenna

Andrew J. McKenna

McDonald’s Corporation seeks strategic partners for its future growth plans in Asia

  • Company Seeks Strategic Partners to Add Value in High-Growth Markets: China, Korea and Hong Kong

OAK BROOK, IL and BEIJING, CHINA, 2016-Apr-04 — /EPR Retail News/ — McDonald’s Corporation (NYSE: MCD) today announced its intent to identify strategic partners who will add value and unlock growth potential in key markets throughout Asia to advance the company’s future growth plans. The company is seeking partners who would enhance its competitive advantages and resources to enable localized decisions on growth initiatives and increase capital resources to further invest in restaurant expansion and modernization.

“Asia represents a significant area of opportunity for McDonald’s to blend our global quality standards with local insights and expertise from partners who share our vision and values,” said Steve Easterbrook, McDonald’s President and CEO. “This will allow McDonald’s to accelerate our growth and scale faster across diverse markets placing us closer to our customers and the communities we serve. We’re in the midst of transforming our business and taking a strategic and thoughtful approach to enhance our ability to grow around the world. These actions build on our turnaround efforts and will advance local ownership, enable faster decision-making and achieve restaurant growth.”

China, Hong Kong and Korea collectively represent more than 2,800 restaurant locations, the majority of which are currently company-owned. Those countries are included within the company’s High-Growth Markets, a segment which includes countries with relatively higher restaurant expansion and franchising potential. The company intends to add more than 1,500 restaurants in China, Hong Kong and Korea over the next five years.

As part of a way to advance growth in Asia, the company also recently announced its intent to identify strategic partners in Taiwan and Japan. Last year, McDonald’s committed to strategically evaluate ownership structures in markets around the world with the overall goal of reducing the number of restaurants that the company owns and operates. The result of this will be to place more restaurants under local ownership, in the hands of local franchisees, with a long-term goal of being 95% franchised. The identification of strategic partners in Asia is consistent with this strategy.

ABOUT McDONALD’S
McDonald’s is the world’s leading global foodservice retailer with over 36,000 locations in more than 100 countries. More than 80% of McDonald’s restaurants worldwide are owned and operated by independent local business men and women.

FOR MORE INFORMATION CONTACT:

Media:
Becca Hary
630-623-7293
becca.hary@us.mcd.com

Investors:
Chris Stent
630-623-3801
chris.stent@us.mcd.com

McDonald’s appointed two new senior management positions to drive the company’s turnaround efforts

  • David Fairhurst promoted to EVP and chief people officer
  • Chris Kempczinski appointed EVP of strategy, business development & innovation

OAK BROOK, IL, 2015-9-28 — /EPR Retail News/ — McDonald’s today announced that the Board of Directors has appointed two new senior management positions to drive the company’s turnaround efforts.

Effective Oct. 1, David Fairhurst will assume the newly expanded role of corporate executive vice president, chief people officer. Fairhurst will oversee global human resources with additional responsibility for global training. He will report directly to McDonald’s President and CEO Steve Easterbrook. Fairhurst replaces Rich Floersch, executive vice president and chief human resources officer, who will retire effective Dec. 31.

Fairhurst, 47, joined McDonald’s UK in 2005 as vice president of people and he was promoted to chief people officer of northern Europe in 2007. In 2011, he was appointed chief people officer of Europe. Earlier this year, he was named corporate senior vice president, international human resources and strategy, with responsibility for global design and systems.

“David will build on the substantive work that Rich led in making talent development a priority at McDonald’s,” said Easterbrook. “As we thank Rich for his contributions, we’re confident that David is the leader we need to continue supporting the business turnaround and driving our global people strategy.”

Chris Kempczinski, 46, has been appointed as corporate executive vice president of strategy, business development and innovation, effective Oct. 26. In his role reporting to Easterbrook, Kempczinski will oversee all aspects of strategy development, planning, innovation and new concepts to drive growth for the company. Kempczinski was previously executive vice president of growth initiatives and president of international at Kraft Foods Group, where he was responsible for Kraft’s international business. Additionally, Kempczinski oversaw Kraft’s overall corporate growth agenda with responsibility for the company’s strategy, mergers and acquisitions, innovation, insights and breakthrough R&D functions. He joined Kraft Foods in 2008 as senior vice president for U.S. grocery, and in 2012 was promoted to president of Kraft Canada. Prior to joining Kraft, Kempczinski had a successful eight year career at PepsiCo and worked for both The Boston Consulting Group advising Fortune 100 companies and was a brand manager at Procter & Gamble.

“At this crucial time in our business, Chris brings an unparalleled level of strategic expertise coupled with a fresh perspective to our management team,” said Easterbrook. “Chris is a proven global leader with a solid track record of success and will play an instrumental role moving our Brand forward.”

McDonald’s is the world’s leading global foodservice retailer with over 36,000 locations serving approximately 69 million customers in over 100 countries each day. More than 80% of McDonald’s restaurants worldwide are owned and operated by independent local business men and women.

 

MEDIA:
Becca Hary
630-623-7293
becca.hary@us.mcd.com

INVESTORS:
Chris Stent
630-623-3801
chris.stent@us.mcd.com